New-York tribune. [volume] (New York [N.Y.]) 1866-1924, 1887-08-08
THE LEAK IN THE TREASURY.
MORE LIGHT ON THE CALIFORNIA FRAUDS.
wnAT CONTROLLER DURHAM AND COMMISSIONER
SPARKS HAVE SAY.
tBr TKLEGRAfL TRIBUNE

| SPARKS HAVE TO SAY.
| tBr TELEGRAfI 10 IHE TRIBUNE
WASHINGTON. Aug. THE Washington Post of to-day
contains the following:
Controller Durham said to a Post reporter yesterday
that there was no truth in sensational story printed in
TINT NEw,foRK TRIBUNE to the effect that warrants
to Deputy Surveyors Of public lands in California in pay
ment OF services which had been paid for In full years
were being twice paid according 10 THF TRIBUNE, is
this: The Treasury warrants sent In bulk to the
the individual claimants Some OF these he delivered,
but others he failed deliver for the that
their claims having previously been paid in full From
this followed the assumption that cains being paid
twice over and the other assumption that somebody in
the First Controllers office working up forgotten
claims naying them allowed and warrants issued for
payment Ihis would mean repetition OF that class OF
fraud invented and pracsed by Oscar j. Harvey late OF
the Ihrs Of but in the m
then there s the serious deficiency the theory that
of the dishonest official, which OF would have
been necessary part OF the scheme of fraud Indeed
tive but entirely unfoundcd There has been conflict
going for long time between First Controller Dur
ham and General Land Commissioner Sparks on the
question OF jurisdiction the land Office accounts.
This fact made it easy for THE TRIBUNE to get up
General Sparks when by The Post reporter yester
day. denied that he had any knowledge OF how TnE
TRIBuS had got its information and while he refused
to crtcsc the First CONTROLLERS office his refusal was in
own accounts said hc and has not recommended the
payment Of any account which should not he paid. II
uOnc lna III IA tnfin 10 HllsWcr,
not ~ do not make any charge aga st another oihce
and do not cncisc the action OF any other office When
First Controller and il he allows accounts nat the Land
Oifce says ought not TO be allowed that Is not our
would not say whether or not the First Controller had
paid any accounts which the Land Office had rejected
General OF california indicated that accounts
were paid twice over lie would not say anything ex-
cept that III soe other Office erred the Land ONCE was
not responsible
1t will be observed that Judge Durham carefully
refrains from making specific denial OF the charge
made by THE TGrDUNE correspondent and repeated
that money has been irreguarly frauduenty paid
OF public laid surveys In California. To say
that the fact that there is conflict between Durham
aud Sparks made 1t easy for THE TRIBUNE to get up
false sensation Is TO offer denial The theory"
Of the correspondent may he open criticism but that
Is mmatcria. There was assumption that claims
were being paid twice over" II directly charged
Neither there any assumption that somebo iy In
the First Controllers Office working up forgotten
claims. having them allowed and warrants issued for
payment" The Controllers office was
toned. but this part OF Mr. Durhsms explanation"
seems 70 indicate that somebody" in that office Ia
suIrmne under the disclosure Again. IL is stated that
these checks did into the possession Of the
dishonest official" This appears he admission that
there checks and that OF them were sent
10 Commissioners Sparks II not, Judge Durham would
have been In position 10 deny the statement outright,
and also deny that Commissioner Sparks addressed
rcmons 10 him against the rreguarity OF the pro-
ceedug the part OF the Treasury Department. The
paragraph OF the article above quoted would to
indicate that Judge Durhams hurried visit TO the In
terror Department yesterday try 10 have Commls
soncr sparkss mouth closed In regard TO the crooked
transaction. Apparently he not successful He re-
fused say The Post reporter that the Controller had
paid which the Land Once had rejected or
declined to approve. or whether any OF the checks
turned 10 him by the Snrveyor-Gcncrll OF California
indicated that accounts were paid twice over"
Can anybo doubt for instant that Commissioner
Sparks would have denied both statements II he could
have done So truthfulyi Moreover, he stated to THE
TRIBUNE correspondent that accounts had been paid
which he had not certified AMI tina, he thought that"a
great mistake made" In the press dispatches
some time ago exCoD grcssmcn Hurd ami Thompson
and Mr. Bis,ell referred the counsel In Wash
ington OF the Bank Of California, which holds large
amount, 1t Il said, several hunlre thousand dollars
worth OF deposit certificates for surveys which have
been hang up for several years and which for various
reasons the Commissioner OF the General Land Oncc
has declined To rcrty for payment on the ground OF
alleged faud II stated also that the counsel hrst
appealed the President to order sparks TO obey Con.
troler Durhams order but that he declined 10 interfere
Opuion. which turned out Ia bo adverse u Durhams
prccusions About that time great pressure was
brought 10 hear sparks Among other publications
a the effect that lie had written letter
70 pF"'i@nsm' @ Jew ork ltoa ry''s % ,h ~ it, al ~
fallen into the hands of Edward stokes, OF New York.
who MAS said TO he a member OF a California syndicate
and ta he had placed in the hands OF eICongress
man lIurl. IL asserted that thq letter would he
published Sparks SAID that he had n4 objection 10 the
publication OF any letter he had writfn There was
furry the letter has never been Forthcoming lt
was asserted AT that time also that hd Bank OF Cali
f,rnia and Eenson against whom procet tdings been
begun Tor completely IN surveying iraudh were members
of the syndicate. OF course these circumstances may
have had no relation to the unauthorized and alleged
fraudulent payments made by tho Treasury Department
on account OF California land surveys but II should be
r..ncmbrred that Messrs IIurd, Thompson and Bssel
were counsel VINO made the argument before the
Attorney General In behalf OF Durhams assumption OF
authority over sparks
There IL II strong impression among men who havo
some knowledge of the California leak In the treasury
that It Il more extensive nan IS yet known. and that
when fully explored IL will he found 10 extend 10 COLO
RADIO and probably To several Western Territories.